The EUR/USD pair dropped in the short term as the Dollar Index managed to rebound in the short term. Still, the currency pair maintains a bullish bias as the DXY could drop again at any time. It was trading at 1.0883 above 1.0835 today's low.
Fundamentally, the Eurozone Flash Services PMI came in at 50.7 above 50.0 expected announcing expansion, while the Flash manufacturing PMI came in better than expected at 48.8 points above the 48.6 forecasted. Furthermore, the German Flash Services PMI jumped to 50.4 from 49.2 points, far above 49.6 expected confirming expansion, while German Flash Manufacturing PMI came in worse than expected signaling further contraction.
On the other hand, the USD appreciated a little in the short term as the US Flash Services PMI and Flash manufacturing PMI came in better than expected but signaled further contraction in both sectors.
EUR/USD Range Breakout!
Technically, the EUR/USD pair escaped from the extended range. Now, it has dropped a little but it has failed to stay below 1.0845 former low signalings that the buyers are still in the game.
The descending pitchfork's upper median line (uml) and the 1.0897 represent upside obstacles.
EUR/USD Outlook!
Technically, the bias remains bullish as long as it stays above 1.0867 and above 1.0845. So, a valid breakout through the upper median line (uml) and above 1.0897 activates further growth and represents a buying opportunity.
